January 20, 2009, Vaasa/Karlstad
CITEC ACQUIRES KPA ENGINEERING
- Invests in growth in Sweden
Citec Engineering Ab has acquired the Swedish company KPA Engineering Ab. The objective is to start a long-term, profitable growth on the Swedish market within technical solutions and services for the industry.
KPA Engineering is a consulting firm in industry and plant technology. The company has approximately 70 employees, a turnover of about 5 million Euro and has offices in Karlstad, Göteborg, Norrköping and Örebro. The main geographical market for KPA Engineering is Sweden and the company mostly operates within the energy, process and chemical industries. Today KPA has a large client base in Sweden which Citec will now have access to.
- Through the acquisition of a strong operator such as KPA Engineering we can quickly and effectively establish ourselves in Sweden. The deal is important for Citec when considering the future we are proactively enlarging our market area and opening possibilities for more projects, says Rune Westergård, Chairman of the Board for Citec. The areas of energy, process and chemical industries are strengthened. KPA Engineering also has commissions from the Norwegian oil industry, an area with a continuing need for engineers, says Westergård.
- We have worked together before and know that KPAs solid experience base and high technical competence will be an advantage for us. Among other things KPA Engineering specializes in calculations, design and project management which will also improve the services Citec offers our current clients, says Martin Strand, Managing Director, Citec Engineering.
Hans Paulsson, currently KPA Engineerings Managing Director, is appointed Managing Director of Citec KPA Engineering Ab. In Sweden, the company will be marketed under the joint trademark Citec KPA during the year 2009. As of 2010 the company will be marketed under the trademark Citec.
- Citecs experience in demanding, global, multidisciplinary projects is very impressive, says Hans Paulsson, Managing Director of KPA Engineering Ab. Citec brings us new knowhow in areas such as electrical & automation and civil engineering. It will be exiting to combine our special knowhow with Citec and create synergies for the benefit of our customers. Our objective is to offer the services of Citec KPA mainly to larger, Swedish customers with a base here in Sweden, says Paulsson.
- Im also impressed by Citecs company culture, which despite rapid growth is still open and down to earth. Both companies are also privately owned, which will make the ongoing integration work easier, Paulsson finishes.
KPA Engineering, founded in 1992, was faced with a change of generations among the owners and was looking for a buyer because of this. The choice fell on Citec. The purchase means that Citec Engineering will buy 70% of the company while the four founders and the current owners of KPA will keep 30% of the shares. Citec Engineering has the option of acquiring further shares until 2012. The purchase agreement is in force from January 19, 2009 onwards.
For further information, please contact:
Rune Westergård, Chairman of the Board, Citec companies
mobile: +358 (0)500 568 382
Martin Strand, CEO, Citec Engineering Oy Ab
mobile: +358 (0)40 571 4463
Hans Paulsson, Managing Director, KPA Engineering Ab
mobile: +46 (0)70 666 47 90
Michael Smirnoff, Communications Director, Citec companies
mobile: +358 (0)50 464 0656